What is House Edge? House Edge Explained.

Last Updated on October 11, 2023

The House Edge refers to the mathematical advantage that a gambling game has in favor of the casino or house over the players. It’s typically expressed as a percentage, indicating the average profit the casino expects to make from each bet over the long run. The house edge ensures that casinos remain profitable over time, even though players may win in the short term. The larger the house edge, the more the odds are in the casino’s favor.


Why is the House Edge important for gamblers to understand?

Knowing the house edge gives players insight into the odds of a particular game. It helps them gauge how much they stand to lose over time for every bet they place. Understanding this can inform their game choices, betting strategies, and bankroll management.

How is the House Edge calculated?

The house edge is typically calculated by determining the actual odds of winning versus the payout odds offered by the casino. For example, in European roulette, the chance of hitting a single number is 1 in 37, but the payout is 35 to 1, leading to a house edge.

Do all casino games have the same House Edge?

No. Different games have varying house edges, often influenced by game rules, payouts, and other factors. For instance, blackjack, when played with optimal strategy, might have a lower house edge than slot machines. Researching and understanding the edge for each game can help players make informed choices.

Can players reduce the House Edge through strategies?

In some games, yes. For instance, in blackjack, employing basic strategy can help lower the house edge. However, it’s crucial to note that no strategy can entirely eliminate the house edge, as it’s a built-in aspect of casino games designed to ensure the casino’s profitability.

Is the House Edge the same as the Return to Player (RTP) percentage?

No, but they are closely related. While the house edge represents the percentage of player bets that the casino expects to keep, the RTP indicates the percentage of bets that players can expect to get back over time. Essentially, RTP = 100% – House Edge.

Author of This Article:

Rahul Bhatia

Rahul Bhatia

Rahul Bhatia

Rahul Bhatia

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